Adani Group Promoters Increase their Stake in Adani Enterprises via Open Market Purchase
In accordance with a regulatory filing, the Adani Group's promoters increased their stake in the conglomerate's flagship company, Adani Enterprises, by 2.22% through open market purchases.
Between August 7 and August 18, Kempas Trade and Investment, a promoter group company, purchased 2.53 crore shares of Adani Enterprises, increasing the promoters' overall stake in the company to 69.87%. According to the stock's closing price on Monday, the purchased stake is worth Rs. 6,675 crore. On Aug 21, Adani Enterprises closed at Rs.2,639.75 per share on the National Stock Exchange, representing a 2.41% premium.
As of Monday's press time, the Adani Group had not responded to a request for comment on this transaction.
The promoters owned 67.65% of Adani Enterprises at the end of the June quarter, with the remaining shares owned by public shareholders, including the US-based investor firm GQG Partners, which owns 2.67%.
In June, GQG Partners invested approximately Rs 8,265 crore in Adani Enterprises and Adani Green Energy. In March, they invested over Rs 15,000 crore in Adani stocks and acquired stakes in four Adani companies, including Adani Enterprises. Earlier this year, the business conglomerate's market value was reduced by about $150 billion as a result of allegations of accounting fraud and large stock price manipulation by American short seller Hindenburg, who also claimed that the value of their assets had been falsely overinflated. The Adani Group has denied all allegations.
The group's stock prices have considerably recovered since. In the first quarter of the current financial year, Adani Enterprises reported a 44% year-over-year growth in net profit, reaching ₹674 crore. However, the revenue from operations declined by 38% to ₹25,810 crore, primarily due to a correction in coal prices.